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Gold/Mining/Energy : Gold Price Monitor -- Ignore unavailable to you. Want to Upgrade?

To: goldsheet who wrote (60655)	11/7/2000 1:41:00 PM
From: long-gone	Read Replies (1) \| Respond to of 116791

<< producers are hedging (part of) their production IN CASE the price of gold declines during the period Sometimes it is even simplier than that. Many juniors can not obtain the financing to develop projects and/or the interest rates are too high. If they can get a bank loan they are often required to hedge part of production as part of the terms and conditions. Otherwise, a low interest gold loan is the only viable method left to develop a project. The basic survivial of the company is more important than its effect on the overall gold industry. If you are dead, you can't play the gold game anymore ! >> How much impact do you think the(manipulative) S&P credit rating ruling has had on the hedging process?

To: goldsheet who wrote (60655)	11/7/2000 2:02:11 PM
From: Crimson Ghost	Read Replies (1) \| Respond to of 116791

A good argument in favor of massive gold industry consolidation. I have long argued that a radical restucturing of the gold industry leaving a small number of financially strong players is the only way (short of a new gold bull) to substantially reduce producer hedging.

To: goldsheet who wrote (60655)	11/7/2000 3:46:33 PM
From: Enigma	Respond to of 116791

agree